- January 19, 2022
- Posted by: Bastion team
- Category: World News
“This was a metaverse-related deal in terms of what Activision could play with its franchises,” said tech analyst Dan Ives of Wedbush on Yahoo Finance Live. “I think this is going to have a ripple effect across the broader tech space, not just on the enterprise but especially on the consumer.”
In a surprising move Tuesday, Microsoft said it would acquire Activision Blizzard for $95 a share. The deal, valued at $68.7 billion is Microsoft’s largest takeover ever. The deal comes as Activision shares had dropped 27% in the past year before the deal amid multiple cultural controversies inside the company.
Activision Blizzard shares rose 27% to $83.28, while Microsoft fell 1.6% to $305.
When the transaction closes, Microsoft will become the world’s third-largest gaming company by revenue, behind Tencent and Sony, according to the tech giant. Microsoft will be acquiring iconic franchises like “Warcraft,” “Diablo,” “Overwatch,” “Call of Duty” and “Candy Crush”, all which have massive potential in the metaverse experts such as Ives believes.
Embattled Activison CEO Bobby Kotick will continue to lead the company but will report to Microsoft’s…